361 Degrees International Limited (HKG:1361)
After Anta and Li Ning, this Chinese sportswear is vying to grow into a global brand and challenge Nike and others.
The stock's EV/EBITDA ratio is 2.76, and its EV/FCF ratio is 9.82. Return on equity (ROE) is 13.12% and return on invested capital (ROIC) is 19.76%. In the last 12 months, operating cash flow was 906.51 million and capital expenditures -317.39 million, giving a free cash flow of 589.12 million.
361 Degrees International Limited trades like an “ ugly stock, " operating in the shadow of domestic Chinese giants such as Anta and Li-Ning, as well as Western behemoths Nike and Adidas. The market gauge the brand as second-tier, suited for lower-tier cities in China, where it has grown and anchored as an affordable sportswear brand.
Despite being perceived as a cheap and marginal brand, 361 Degrees has delivered outstanding returns against ongoing macro headwinds in mainland China.
The company posted 2025 revenue of 11.1 billion yuan (approximately $1.6 billion), up 10.6% year-on-year, with net profit rising 14% to 1.3 billion yuan (approximately $192.3 million). In the first quarter of 2026, offline retail sales for both the core brand and kids’ line grew approximately 10%, while e-commerce platform sales surged at a mid-teens pace.
The company has also expanded its international branding campaign by sponsoring elite marathon runners and even signing NBA stars such as Nikola Jokic and Aaron Gordon.
The stock trades below 5x earnings, yields a 7.7% dividend, and is backed by the Din family’s own skin in the Game and ambition to see their company grow on the international scene alongside Li-Ning and Anta.
The stock is down 30% y/y but has proven far more resilient than the likes of Li-Ning and Nike, that are down 70% (±) in five years and are showing decelerating margins.
361 Degrees stock is up 5x since 2020, outperforming its larger and deeper-pocketed competitors.
